The artist has handed over the full amount of his twenty-five thousand pound award cash to the trust for venues, which works to protect the Britain's small live music spots.
The star was given the award on mid-October as his third album People Watching was named the top album of the past year.
He has opted to hand the money over to the Music Venues Trust, in acknowledgment of the vital role local spots played in his initial steps.
"As an artist wouldn't be doing this success if it weren't for all the gigs I did around the area, and elsewhere, when I was just getting going," remarked Fender. "These venues are renowned, but they are facing challenges."
From early 2023 onward, at least 150 of these spaces have permanently closed – approximately 16 percent of the total UK scene.
Recently, top acts including the band Pulp, Coldplay, Katy Perry and Sheeran have all aided the MVT in its initiatives to keep the scene afloat, by applying a small levy to their ticket costs, which supports smaller concert halls.
Fender also took part, raising in excess of £100,000 on his 2024 arena tour to support thirty-eight small stages across Britain.
These funds assisted spaces that were facing imminent closure due to challenges caused by floods, blazes and family tragedies, as well as licensing issues, conflicts and sound issues.
Additional spaces obtained monetary aid in modernizing infrastructure and sound and lighting systems that positively impacted performers and audiences.
"The concept that revenue from shows in big venues supports the local stages, where it begins for performers like me, is just common sense," the star has commented.
The musician is not the first artist to donate his Mercury Prize winnings to worthy causes.
When Pulp earned the trophy in the mid-90s for their release the album, vocalist Cocker declared that the act would donate their cash to the charity War Child.
In 2002, artist Ms Dynamite split her award across several charities, such as the children's charity and a Sickle Cell charity.
"Additionally, I donated a thousand pounds to the center, to their gymnastics program, because I trained in gymnastics when I was younger and they required better apparatus," she explained to the media.
Previously, the band contributed their winnings to the local youth club that supported their band, as well as other local music groups.
Also winners that year the group gave their prize to a multiple sclerosis charity after a close contact was diagnosed the condition.
"Receiving the award was quite enough," said singer Small. "The prize was the bonus but we could do without the cherry, because we had the honor. So our success touched somebody else's life."
In the past week, the trust revealed it had rescued several grassroots venues in that region, by bringing them into community ownership.
The first in that area and the other in the city were acquired under the public acquisition scheme, which is supported by the arts council and enthusiasts who acquire "shares" in the properties.
